About the report
This white paper examines the tokenization of the FUJI LNG carrier, a collaborative project between EVIDENT and GreenSeas that represents the first tokenization of a maritime vessel. The report analyzes how blockchain technology and financial structures were implemented to convert a traditional shipping asset into digitally tradable security, establishing new frameworks for fractional ownership and enhanced liquidity in shipping investments. Based on project documentation and implementation experience, this paper provides insights into the technical, legal, and operational components that supported this initiative.
Key highlights
- Initial implementation of LNG carrier tokenization, validating blockchain technology application in maritime asset ownership
- Development of a legal framework using a Hong Kong Limited Partnership Fund (LPF) structure and Special Purpose Vehicle (SPV) for regulatory compliance and investor protection
- Implementation of secondary market functionality on the Algorand blockchain, enabling peer-to-peer trading with immediate settlement finality
- Achievement of target investment performance metrics over the investment period (May 2022 - March 2024)
- Integration of security protocols including multi-signature authorization and KYC/AML compliance systems
- Successful completion of asset sale exit strategy, demonstrating tokenization lifecycle viability
- Implementation of smart contracts for automated distributions and asset management
- Development of infrastructure standards for subsequent tokenization projects in alternative assets
The project illustrates how tokenization addresses specific challenges in shipping investment: capital requirements, liquidity constraints, and fee structure complexity. The collaboration between EVIDENT and GreenSeas establishes operational frameworks for expanding access to maritime assets while maintaining compliance and security requirements.
This report provides reference material for institutional investors, maritime industry participants, and financial professionals examining blockchain technology applications in real-world asset investment. The documented procedures and frameworks offer practical insights for the continued development of efficient investment structures.
